Construction workers on a vast Indian highway project, symbolizing extended timelines for investment.
India’s Ministry of Road Transport and Highways has increased the normative construction periods for national highway projects to a maximum of six years. The policy adjustment, detailed in a circular issued on Monday and effective for projects bid out on or after May 6, 2026, applies to engineering, procurement, construction (EPC), hybrid annuity model (HAM), and build-operate-transfer (BOT) projects.
The extension aims to accommodate the complexities and potential delays inherent in large-scale infrastructure developments. By providing more realistic timelines, the ministry intends to encourage greater participation from private investors and contractors, ensuring smoother project execution and reducing the risk of stalled projects.
This move reflects the government’s ongoing efforts to enhance infrastructure development across the country, recognizing its critical role in economic growth and connectivity. The extended timelines are expected to provide a more conducive environment for project planning and execution, potentially leading to higher quality infrastructure and reduced cost overruns. The policy shift is viewed as a strategic adjustment to align project timelines with on-the-ground realities, fostering a more sustainable and efficient approach to national highway development.